What is the Safe Harbor Code?

The Safe Harbor Codes describe the affordability or relief (multi-employer or transition) associated to the benefit plan that has benefit coverage. Definitions are located in the IRS regulations. It is the end user responsibility to assign a Safe Harbor Code that is representative of their benefit plan.

When an employee enrolls in benefit coverage, a Safe Harbor Code of 2C is generated for the months of coverage. If the employee waives the benefit coverage or if relief is in effect, then the Safe Harbor Codes 2E through 2I from the "best offer" plan (BN29) is used for the months of waived coverage.